everyone. afternoon and you, Friederike, good Thank
extending execution key perseverance sincere challenging thank today’s Let messages for call. for yet by me in to Three Team and Central begin you another a their quarter.
guidance season, poor the and sluggish cost strong November, ago. anticipated line a our We year’s QX partners, at which demand included results. inventories delivered quarterly we our near-term compared garden provided challenges. higher in quarter year more with growth environment last with the First, unfavorable from a retail These in overhang
our put $XXX sales Net challenges million, guidance. XX.X%, downward in gross was these metrics. We loss of pressure income and was on line expected, per our key $X.XX margin financial As with were had a share $XXX,XXX. operating
Second, our the outlook for year.
Our quarter traditionally our first fiscal smallest is quarter.
any garden still major such, the As QX, XXXX is conclusions especially draw season we us. of front usually since don’t from in
weather the offset assume largely season expect of and normal remainder control cost dynamics stabilize will inflation. that we actions year, garden a our to inventory the measures we For pricing and and
underpin We competitive customers in and confident sustainable the Central roadmap as create our potential and for such, numerous $X.XX outlook maintaining with are Pet guidance our growth our trends EPS for our the remain consumer As and are to Garden the strength favorable. years strategy Central of we categories Both to to for shareholders. year. And to Home value long-term remains growth dynamic come. that of third, $X.XX
cat outdoor growth Pet On Now private-label low-profit look to as cushions. X% a lines, in dog let’s we Sales sales Pet. as prior in product below two our with our especially largely in decision positive brands, discontinue to the segment take pet at our well due robust starting saw note, beds. segments year and were a
and headwind to our are beginning the pet years, we longer versus while a innovation attractive investments middle expansion This POS and in as pet prior down insights, by inventories quarter, our a capacity toys, our and by our normalize an in their the and year. indication that working small nineties. down share X% the efforts in is growth marketing two to to expect dog in by equine. in drove gains category remains Pet retailers the to bird, mid-to-upper automation of increase year. an we the off were further aquatics and are our consumer that Thanks capabilities sales in and animal, brand grow levels treats, dog no around are pay last now service Moreover, evidenced are market still
near change our adoption of term Another the pet dynamic is impacting business portions in rates.
impacts now few is ownership such a fish for durables years pet durable than period, The in and a difference are trend. animal of COVID more between This durable growing new we to and enclosures, seeing quarter. spread Following small the recent as trends sales during goods. tanks, consumable unfavorably early the consumer declining flat other pet a demand ten-point
in Our consumer sales. eCommerce digit growth the business double our dog first increases and in businesses. significantly represents of solid eCommerce gross with brick-and-mortar quarter, approximately now pet including outperform sales cat channels XX% continues our to
performance. to reptile, to Similar in continuing gained animal, and we pure aquatics, bird, quarter, dog XXXX investments eCommerce leading are small across including supply etailer, our prioritize with pet and share and fiscal We treats, our categories digital a toys. we’re capabilities pet talent, broadly play share on fourth market pleased dog
behavior, We change patterns. in consumer eye close including keep purchasing any a on
see there branded future outperforming private While private be may a label continue a to recessionary pet environment, aggregate, shift to label. in our we in business
our typically sales. to XX% of annual represents Garden fiscal Garden segment, quarter now only first our Turning about
absorption, quarter, we’re fixed the a would much as into So the demand. quarter be poor challenged season first last of overhang anticipated and since read We in to our this result of higher weaker levels, year’s not including too largely is Garden front season, careful from unfavourable us. cost Garden still inventory
In from below foot year. digits customers mid-single traffic prior lower addition, double three ranging low saw to our top
participating live Bird declined versus both weakness and year to market driven spots be third growth. Bird market share marketing. households more X% younger also in prior year, Seed a has in growth. the and by Wild us. Grass sales category market were by backdrop, share Garden recent the improved goods, innovation And that is continues and grew saw business With driven its been Bright brand and in The and Pennington and hobby. of controls consecutive which fertilizers. Seed, our sales with quarter, strong sales our Grass reignited share and on Wild for post-COVID
Garden we POS remain growth lapping were are by back in half, softer POS, lapping in the comps. the overall prior categories. engaged growth will consumers as low-single-digit which down, and our is This While that we QX sales be in encouraged And into XX% the year. the Garden we move indicates
now growing our year. XX% part eCommerce Garden high prior levels. historic we’re back And customer business, in a still rates Our versus fill are small of pleased XXs consistently QX POS the relatively our to while with
our of share call, our to and to to focus two We the me Home on comments I few unlock let progress remain a quick to as and good Now make committed consumer across cost. continue In value on number will pillars, for strategy strategy. roadmap we today’s of our a priorities. our shareholders, strategic strategic key Central
First, our consumer pillar.
Over suggests the and last our and better beginning quarter talent investments media, bigger consumer-driven latest working are few tools. advancing improved our off. importantly capabilities marketing increased years, made and tracking in pay growth The acquisition, that and to investments measurement we’ve through innovation ideas,
our market categories. previously And sales outlined, and While of we growing and especially share, pure-play in was Pet demand across we our the the our share Garden are reasons channel, we growing are in across competition majority the environment QX our the in QX, growing faster both for the I market fastest sluggish e-commerce, than POS growing largest are platform.
will to a Second, fiscal we build term and it while It inventory our reducing additional portfolio, take initiatives across our also our XXXX, to is and concentrating to cash. network, cost efforts to and actions footprint, streamline margins. This all over build means converting and shifting cost about leverage manufacturing, means supply cut scale We meaningful Central costs across longer pillar. our optimize believe are simplify distribution our and to In into we time. improve better our internally the cost margins opportunity theme structure short-term procurement, on cash. chain there’s developing our
we revolution, term up share We This about firm plans growth. measured are not longer fuel our to margins a here. taking evolution, we’ll more approach and and as is improve
to that the to strategy So of Garden industry growth. the we Central Home summarize, and trends and strength and confident Pet in competitive remain support fundamental our Central
challenging that year to and largely the will and remain dynamics knew and as assume we QX expect stabilize team’s perform. a progresses, control in be year start navigate to ability that normal actions the inventory pricing and efforts We would season and offset to a I we confident our garden weather inflation. cost
our such, EPS year. the are to maintaining we guidance for $X.XX $X.XX As of
me Niko, over with it details Niko? And more turn our results. let of share will who that, QX to
